A key step in the Klaipėda LNG terminal electrification project – initial works begin

As part of the shore electricity connection project to the Klaipėda LNG terminal implemented by the international energy terminal operator KN Energies, the first works have begun. The company executing the project, Kauno tiltai, has started cleaning a pipe installed using the horizontal directional drilling (HDD) method and carrying out other preparatory works for laying the underwater power cable.
 
The 6.5-kilometre cable that will supply electricity from renewable energy sources to the Klaipėda LNG terminal will be installed inside a pipe stretching 2.3 kilometers from the shore to the LNG terminal jetty at a depth of 45 meters.
 
According to Aldas Rusevičius, CEO of Kauno tiltai, the physical works of the electrification project began in October. The remaining design works are expected to be completed by July 2026, after which the main construction phase will follow.
 
“The project implementation started with the design phase, where the involvement of all stakeholders is of utmost importance. From the very beginning, we have been actively cooperating with the client – timely provision of the necessary information helps ensure smooth planning and execution of the works,” said A. Rusevičius.
 
Dainius Čiuta, Chief Operations Officer at KN Energies, noted that the works are proceeding according to schedule and that the initial preparation stage is nearing completion.
 
The contract for the engineering, procurement and construction (EPC) of the shore power connection to the Klaipėda LNG terminal, signed between AB KN Energies and public procurement winner AB Kauno tiltai, is valued at EUR 19.3 million excluding VAT. At the beginning of April 2025, a subsidy agreement was signed with the Environmental Project Management Agency, under which EUR 6 million in funding from the European Union’s Modernisation Fund Program was allocated for the implementation of the project. The remaining amount required for the implementation of the project is planned to be borrowed by KN Energies from commercial banks.
 
Under this contract, the contractor undertakes to design and install an power cable needed for the LNG floating storage and regasification unit (FSRU) Independence, which will run through the territory of Klaipėda city and under the Curonian Lagoon. In addition, infrastructure ensuring onshore power supply will be designed and constructed onshore, at the LNG terminal jetty, and on the FSRU itself.
 
“Currently, the FSRU Independence operates entirely autonomously, generating all the necessary electricity using four onboard engines powered by gas and diesel. Once the electricity connection project is implemented, it will be possible to supply the vessel with cleaner electricity generated from renewable energy sources.
 
Preliminary calculations show that this will reduce the LNG terminal’s CO₂ emissions by approximately one-third, making the project highly significant for achieving the company’s ambitious sustainability goals and contributing to the broader European objective of reducing greenhouse gas emissions,” explained D. Čiuta.
 
The Klaipėda LNG terminal electrification project is scheduled to be completed within three years, by May 2028.